(MENAFN- Muscat Daily) The shareholders of Al Omaniya Financial Services (AOFS), the largest non-banking financial institution in Oman, approved a 2013 dividend of 25 per cent - comprising 17.5 per cent in cash and 7.5 per cent in compulsorily convertible unsecured bonus stock bonds.
The company is focusing on strengthening its position as a specialised financial institution to meet corporate needs, besides continuing with its retail and micro finance business.
The annual general meeting (AGM) of AOFS, held on Thursday at the Crowne Plaza Muscat, was presided over by Khalid Said al Wahaibi, chairman of the company. The shareholders also approved the audited financial statements of the company for the year 2013.
Speaking to Muscat Daily, chief executive Aftab Patel said that the company expects major growth in business volume from the corporate segment this year, while growth in the retail and micro-credit segments is expected to remain subdued.
He said, ''We are hoping that the loan-book will probably grow by 10-15 per cent for this year. We are seeing moderate growth in the first quarter, but we expect growth to pick up from the second and third quarter onwards. We expect growth in the volume of business, as well as in profitability.''
''The retail financing segment will remain subdued in terms of growth because the number of players has increased, specially Islamic banks and windows. There is also not much scope for lending in the personal segment as well. We believe that the major growth has to come from the corporate segment.''
Patel said that competition has heated up in the financial sector and margins are under pressure. ''It is increasingly becoming difficult to grow in the retail, car loans and micro-credit segments. I expect margins to decline, but overall, we will be able to maintain profitability as we are focusing on increasing business volume and market share in the corporate segment,'' he sai
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